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Strategy Formulation and the SWOT

Strategists seek to understand the overall position of the firm from a variety of perspectives. One tool to accomplish this kind of complex analysis is a SWOT, which is an acronym for Strengths, Weaknesses, Opportunities, and Threats. These factors are evaluated to arrive at a more complete picture of an organization. The SWOT is probably the most used strategic management tool, and it can reveal hidden dangers and opportunities for an organization.

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Strengths and weaknesses focus on the internal environment, while opportunities and threats are from external sources. Strategic planners must consider a variety of factors as they complete a SWOT analysis. Any factor can be either tangible or intangible. Strategic planners must consider a variety of factors as they complete a SWOT analysis. Ideally, your strengths, weaknesses, opportunities, and threats will paint a realistic picture of the organization and its environment.

Read Chapter 5: Strategizing, Section 2: Strategic Management in the P-O-L-C Framework in our textbook, “Principles of Management.”

PART 1:

Please answer the following questions:

  1. In a SWOT, how do internal factors (strengths, weaknesses) differ from external ones (opportunities, threats)?
  2. Provide examples of when a firm’s strength might simultaneously be a weakness.
  3. Remember that a SWOT is only one kind of tool. What are some of its limitations in diagnosing the situation of a firm?

Please write an essay of complete and well composed paragraphs (250 word minimum for the entire essay) Be sure to use in text citation and provide references for your sources. Wikipedia is not a source.

PART 2:

Pick any organization you are familiar with and complete a SWOT analysis for it. You may want to create a chart to help organize your ideas. Refer to figure 5.9 in the reading for an example of how to set up a chart. You may also want to review the SWOT Analysis of Flat World Knowledge as an example. Evaluate which is stronger for an organization — internal or external factors. What specific ideas from the SWOT are most important to overall strategy formulation for the organization?

Prepare a two page (double-spaced) essay. The paper should be 12-point font, Times New Roman, be at least 500 words, and include a final source list.

PART 3:

Consider the following questions for reflection:

What would a SWOT look like for you personally? What are your greatest strengths and weaknesses? Greatest opportunities and threats?

Please write an essay of complete and well composed paragraphs (250 word minimum for the entire essay) Be sure to use in text citation and provide references for your sources. Wikipedia is not a source.

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